Bitcoin has fallen for five consecutive months, dropping below $63,000 again.

Written by: ChandlerZ, Foresight News

On February 24, the cryptocurrency market continued its weakness this month. Bitcoin, after fluctuating between $65,000 and $72,000 for several days, turned downward, breaking below $63,000 and currently trading at $62,963. ETH prices dropped from around $2,100 to nearly $1,810. The altcoin market declined across the board. Since briefly falling below $60,000 on February 6 and rebounding, Bitcoin remains in a bearish trend. If this month continues to close in the red, it will mark the longest consecutive monthly decline since the all-time high of $125,000 in October 2025, with Bitcoin’s monthly chart showing five consecutive months of decline.

According to Coinglass data, in the past 24 hours, the total liquidation amount in the crypto market reached $327 million, with long positions liquidated at $234 million. The fear index is currently at 9, in the “Extreme Fear” zone. Historical data shows that the fear index has been below 10 for several days, reaching a record low.

In the global financial markets, Citrini Research recently released a report analyzing the potential risks artificial intelligence (AI) may pose to various sectors of the global economy. Market anxiety has accelerated due to AI disruption risks, coupled with geopolitical turmoil and new tariff tensions. On Monday, the S&P 500 closed down 71.76 points, down 1.04%, at 6,837.75; the Dow Jones Industrial Average fell 821.91 points, down 1.66%, to 48,804.06; and the Nasdaq Composite declined 258.796 points, down 1.13%, to 22,627.273.

Precious metals continue to be the preferred safe-haven assets. New York silver rose by 7.5% intraday, trading at $89.22 per ounce; spot silver increased by 5.0%, to $88.52 per ounce; and spot gold gained 2.5%, trading at $5,227.85 per ounce.

Bitcoin and ETH spot ETFs see significant net outflows

Data from SoSoValue shows that Bitcoin spot ETFs experienced a net outflow of $316 million last week. The largest outflow was from BlackRock’s IBIT ETF, with a weekly net outflow of $303 million. Currently, IBIT’s total net inflow stands at $61.3 billion. The second largest was Fidelity’s FBTC ETF, with a weekly net outflow of $19.6 million, bringing its total net inflow to $10.96 billion.

The Bitcoin spot ETF with the highest weekly net inflow was Grayscale’s Bitcoin Trust (GBTC), with $35.97 million, bringing its total net inflow to $2.09 billion.

Ethereum spot ETFs saw a net outflow of $123 million last week, marking five consecutive weeks of net outflows.

Iran tensions and new tariff tensions persist

On the macro level, the outlook remains grim. The New York Times reported on February 22 that Trump has told his advisors he is “inclined to carry out a preliminary strike on Iran in the coming days,” followed by a larger military attack in the coming months to force Iran to “yield” and reach an agreement aligned with U.S. demands.

Citing insiders, the report states that although no final decision has been made, Trump is leaning toward a preliminary strike against Iran in the coming days to signal to Iranian leaders that they must give up their nuclear weapons program. The potential targets include the Iranian Revolutionary Guard headquarters, nuclear facilities, and ballistic missile sites.

If the “targeted” initial strikes fail to compel Iran to meet U.S. demands, Trump “reserves the possibility of a larger-scale military attack later this year” to overthrow Iran’s Supreme Leader Khamenei.

In addition, due to escalating tensions with Iran, the U.S. State Department has ordered “non-essential” American diplomats and their families to leave Lebanon.

Furthermore, on February 20, the U.S. Supreme Court, in a 6-3 decision, ruled that Trump’s implementation of tariffs under the International Emergency Economic Powers Act (IEEPA) was unconstitutional, as the core legal principle is that taxing authority belongs to Congress, and IEEPA does not authorize the president to bypass Congress to impose tariffs.

On the same day, Trump publicly criticized two Supreme Court justices who had opposed his nominations as “a disgrace to the nation” during a White House press conference, then announced he was prepared. He signed an executive order invoking Section 122 of the Trade Act of 1974, imposing a 10% tariff on global imports for 150 days. The next day, he announced plans to raise the tariff rate to 15%. Are the trade agreements previously negotiated with the U.S. still valid? Trump’s vague response was that “some agreements remain in effect, while others will be replaced by new tariffs,” refusing to specify which is which.

This ruling has triggered a large potential for tariff refunds. Economists at the University of Pennsylvania estimate that over $175 billion in tariff revenue faces refund risk. The Congressional Budget Office previously estimated that Trump’s tariffs would generate about $300 billion annually over the next decade. If the full $175 billion is refunded, it would account for more than half of total tariff revenue.

Trump also warned this Monday that any country attempting to exploit the Supreme Court’s ruling could face higher tariffs and more severe consequences. Due to the uncertainty in U.S. trade policy, market risk aversion has increased, with U.S. Treasury prices rebounding and gold prices rising for the fourth consecutive day.

Market outlook

Crypto analytics platform Santiment posted on social media that Bitcoin plummeted 4.5% to $64,200 within just two hours, hitting a new low since February 5. Many long positions were forcibly liquidated, with open interest in Bitcoin futures dropping to $19.5 billion, nearly half of the peak of $38.3 billion in 2026.

Santiment noted that although this correction occurred during the U.S. Sunday night (when social media activity is usually lower), negative market sentiment surged to its highest in two weeks. Breaking below the $65,000 support level, retail investors quickly fell into panic, which historically can help trigger rapid rebounds.

Glassnode analysis indicates that recent spot, derivatives, ETF, and on-chain indicators remain defensive. Selling pressure has eased slightly, and momentum has improved, but participation and capital flows remain weak, making the market vulnerable to volatility. A more sustained recovery may require a revival in spot demand and a significant increase in on-chain activity.

Meanwhile, Bitcoin’s 90-day realized profit/loss ratio has fallen below 1, indicating the market has entered an over-accumulated loss phase. Historically, when this indicator drops below 1, it tends to stay below for more than six months before rebounding above 1. This suggests liquidity will gradually recover.